Cyprus faces delays and investigations into Vasilikos LNG terminal and energy projects

Construction of the liquefied natural gas terminal at Vasilikos remains suspended eighteen months after the contract with the Chinese consortium was terminated. This standstill has resulted in the return of 67 million euros to the European Commission and the completion of a specialized gap analysis. Simultaneously, the European Public Prosecutor's Office is investigating the circumstances under which the tender was originally awarded. The Cypriot Audit Office has also initiated its own probe, with officials recently conducting inspections at the offices of the Natural Gas Public Company (DEFA). While the Ministry of Energy maintains that the project will be completed from its current state, no specific timelines have been provided. Other critical energy infrastructure, including the Great Sea Interconnector (GSI) and the Prometheas floating unit, are also facing significant delays and uncertainty.